LESSON 3: Bookkeeping Elements and Account Titles for a Merchandising Business (INCOME AND EXPENSES)

Question 1

Refers to the different SERVICES or
SOLD MERCHANDISE rendered to
customers over a given period.

Answer 1

INCOME : OOOs of the BUSINESS

Question 2

The revenue generated by a business from
providing services to its customers.
It represents the monetary value of the work
performed or expertise offered by the company.

Answer 2

SERVICE INCOME

Question 3

The earnings an individual receives based on a
percentage of sales or a specific amount for each
sale completed. It’s a performance-based
compensation structure often used in sales-
oriented roles.

Answer 3

COMMISSION INCOME

Question 4

Earnings from leasing out a property to
tenants. This includes income from
residential, commercial, or industrial
spaces.

Answer 4

RENT INCOME

Question 5

Earnings by an individual or
company for lending their funds.

Answer 5

INTEREST INCOME

Question 6

• Refers to
  merchandise
  sold to
  customer
• INCOME
  account

Answer 6

SALES